Episode 174 (Yiddish) Using Margin the Right Way – Or Destroying Your Account
Margin is one of the most misunderstood concepts in trading.
Some people treat it like free money.
Others are terrified of it and avoid it completely.
In this episode, I break down what margin really is — in simple, practical terms.
You’ll understand:
• The difference between borrowing to buy stock and using margin to sell options
• How buying power really works
• What happens when you get assigned on a short option
• Why margin can increase opportunity
• And how it can quietly magnify risk if you don’t respect it
If you’re selling options, running the Wheel strategy, or planning to generate income from the market — you must understand margin properly.
Used correctly, it can be a powerful tool.
Used carelessly, it can wipe out years of progress.
This episode will help you think clearly, manage risk responsibly, and approach leverage like a professional — not a gambler.